CREATING & IMPROVING YOUR BACKGROUND CHECK POLICY
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1 STEP BY STEP GUIDE: CREATING & IMPROVING YOUR BACKGROUND CHECK POLICY PRESENTED BY Curt Schwall, CCEP VP of Compliance & Regulatory Affairs
2 Curt Schwall Vice President of Compliance & Regulatory Affairs Employment Background Investigations, Inc. 700 Red Brook Blvd. Owings Mills, MD Phone: x399
3 LEGAL DISCLAIMER The information contained within this presentation is for general informational purposes only and does not constitute legal advice. Participants are advised to contact professional legal counsel for legal advice.
4 TODAY S AGENDA Why Have a Policy? 10 Steps to Create a Policy Q&A
5 Why Have a Background Check Policy? Background Checks are Complicated Program Consistency Documentation of Compliance Policies and Procedures Risk Mitigation And
6 DEFENSIBILITY ebi.tips/fcra-suits
7 FCRA Lawsuits Settlements Healthcare Provider $1.3 Million Pet Supply Company $1.2 Million Mass Retailer $3 Million Pizza Delivery Company $2.5 Million Transportation Company $2.75 Million Ride Sharing Company $7.4 Million Beverage Company $1.2 Million
8 IT ISN T ENOUGH TO JUST CHECK THE BOX
9 STEP 1 Company Statement Define the Purpose and Scope Safety Security Asset Protection Brand Reputation Culture and Values Integrity Anti-discrimination Statement
10 Sample Company Statement ABC Industries background check program is designed to promote a safe and healthy work environment. Consistent with our company core values, we seek to recruit team members who will represent our company brand with honesty and integrity. Our Company s reputation is dependent on each team member s adherence to the guiding principles on which this company is based. Our financial success is also dependent on the protection of our assets. Information from a background check is just one of many factors that our company will consider when evaluating an individual to be a part of our team. All background checks shall be performed in compliance with all applicable laws. The Company shall apply the same standards to all candidates regardless of their race, national origin, color, sex (including pregnancy, gender identity and sexual orientation), religion, disability, genetic information (including medical history) or age.
11 STEP 2 Program Oversight Program Administration Program Responsibility Requestor Authorization Order Placement Post Interview Post Offer Finalists Know Your Ban the Box Laws Report Review
12 STEP 3 Background Check Services What Services Fit Your Specific Needs Job Relevance Justification for Services Criminal Records Credit Know Where Credit Reports are Restricted By Law for Employment Purposes Motor Vehicle Records Regulated Industries
13 Background Check Services Individual background check services may be ordered as they relate to the specific job for which the individual is being considered. The following services will be utilized: Criminal Record Checks This service will be utilized to identify any past criminal history and/or dishonesty. These checks may include information obtained from a county court level (state courts), a state repository, a federal district level or from a search of a nationwide criminal record database. Credit History Check This service will be utilized to identify any personal credit matters of concern. This check shall be restricted to Executive and Finance related positions as permitted by law. Motor Vehicle Record This service shall be used to verify that a candidate has a valid driver s license and a safe driving history. This shall be a required search of any candidate who may drive a vehicle as part of their job duties.
14 STEP 4 Background Check Packages Job Relevancy Tailor Packages to Job Tiers Executive Finance Management Drivers Entry-level positions Promotions Contractors, Temporary Staff Recurring Background Checks
15 3 Types of Packages Executive Package Social Security Trace County Criminal Record Checks based upon address history Federal Criminal Record Checks based upon address history National Criminal Record Database Motor Vehicle Record Check Civil Record Checks Employment Credit Report (as permitted by law) Education Verification Employment Verification Recurring Background Check County Criminal Record Check in county of residence Federal Criminal Record Check in federal district of residence National Criminal Record Database Management Positions Social Security Trace County Criminal Record Checks based upon address history Federal Criminal Record Checks based upon address history National Criminal Record Database Motor Vehicle Record Check Education Verification Employment Verification
16 STEP 5 Ordering Process and Compliance Authorized Requestors Forms, forms, forms Disclosure Form Don t include extraneous information on Disclosure Form Authorization Form Can be combined with Disclosure Form, but be careful! State Forms and Requirements New York Correction Law 23A Summary of Rights Under the FCRA California Statement of Consumer Rights
17 STEP 6 Report Evaluation Process Identify Report Evaluator(s) Individualized Assessment Do not have automatic disqualifiers Scoring Matrices Pass/Review
18 STEP 6 Report Evaluation Process (Cont.) EEOC Factors (Criminal Records) The facts and circumstances surrounding the offense. The number of offenses for which the individual was convicted. The age of the individual at the time of conviction or release from prison. Evidence that the individual has performed the same type of work post-conviction, with the same or different employer, without incidents of criminal conduct. The length and consistency of employment history before and after the offense. Any efforts of the candidate towards rehabilitation. Employment or character references obtained regarding the individual s fitness for the particular position. Whether the individual will be bonded for the position.
19 STEP 6 Report Evaluation Process (Cont.) Local compliance NY Correction Law 23-A The public policy of the State of New York to encourage the employment of persons previously convicted of one or more criminal offenses. The specific duties and responsibilities necessarily related to the employment sought. The bearing, if any, the criminal offense or offenses for which the person was previously convicted will have on their fitness to perform duties and responsibilities. The time which has elapsed since the occurrence of the criminal offense(s). The age of the person at the time of the offense. The seriousness of the offense(s). Any information produced by the candidate, or produced on their behalf, in regard to their rehabilitation and good conduct. The legitimate interest in protecting property, and the safety and welfare of specific individuals or the general public.
20 STEP 7 Adverse Action Processing Initiate PRIOR to a Final Decision Do not indicate a final adverse decision has been made until the end of the process Pre-Adverse Process Notice Copy of the Consumer Report Copy of A Summary of Your Rights Under the Fair Credit Reporting Act Determine Appropriate Waiting Period Halt Process for a Dispute Adverse Action Notice
21 UNDERSTAND ANY UNIQUE ADVERSE ACTION REQUIREMENTS!
22 Jurisdictions with Unique Requirements State of California Los Angeles, CA San Francisco, CA Portland, OR New York City, NY Prince George s County, MD Montgomery County, MD Philadelphia, PA Austin, TX Seattle, WA State of Massachusetts (CORI)
23 STEP 7 Adverse Action Processing (Cont.) Document decision and reasoning. Candidate has a prior history of violence and may present a safety risk to employees and the public. Candidate applied for a position of trust and has demonstrated previous acts of dishonesty. Candidate does not have a bachelor s degree as indicated on job application.
24 STEP 8 Document Retention FACT Act Five Years from date of incident Two Years from date of discovery Retention Policy
25 STEP 9 Privacy Protection Information Security Policy Trusted Candidate Personal Identifier Information (PII) Personal History Background checks may only be accessed by authorized personnel Personal Identification Information shall be protected Reports must be store in a locked cabinet Reports no longer needed must be destroyed
26 STEP 9 Privacy Protection (Cont.) Background Screening Partner Considerations Privacy Policy Information Security Certifications such as ISO27001 Off-shore PII Access Background checks cannot be performed without access to PII.
27 STEP 10 Review and Approval Policy Review and Approval General Counsel or Outside Counsel Version Control Approval Process for Changes Approval Date
28 The 10 Steps to Creating Your Background Check Policy 1 Company Statement 6 Report Evaluation Process 2 Program Oversight 7 Adverse Action Processing 3 Background Check Services 8 Document Retention 4 Background Check Packages 9 Privacy Protection 5 Ordering Process and Compliance 10 Review and Approval
29 THANK YOU! Questions? Curt Schwall x399 Download Your Free Sample Policy
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